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More than two years ago, community leaders in New Braunfels, Texas, decided to move forward with funding for a feasibility study to examine options for publicly owned Internet infrastructure. In mid-July, the city released a Request for Qualifications (RFQ) in search for a partner to assist them on their New Braunfels Broadband Project. Responses are due August 24th, 2018.

Prior Study

Back in 2016, businesses completed a survey as part of a feasibility study and 81 percent expressed dissatisfaction with their Internet access. Speed, reliability, and affordability were all important factors. Community leaders, with an eye toward economic development, have been pondering ways to overcome the problem and have decided to aim for a public-private partnership. Specifically, they want to focus their efforts on fiber optic connectivity in their commercial and industrial business corridors.

New Braunfels has about 55 miles of existing fiber that the city and New Braunfels Utilities (NBU) will make available for the project. They also have conduit that they will open up for the future network design. NBU offers municipal electric, water, and wastewater services, which indicates that they would likely have the knowledge base and the personnel to operate a fiber optice network, but the RFQ states that they're looking for a turnkey arrangement.

In their RFQ, New Braunfels states that they want to find either a private or public sector partner that will offer a revenue sharing arrangement. They expect a minimum of 1 gigabit connectivity now with an expansion to at least 10 gigabit capability in the future. New Braunfels also prefers a partner willing to grow the network over time and have unequivocally stated in the RFQ that fixed wireless on its own will not be suitable to meet...

At a recent City Council meeting, New Braunfels council members approved $57,000 in funding for Phase II of a study to explore the feasibility of constructing a city-owned fiber network. The city's Industrial Development Corporation (4B Board), which helps guide the city's economic development initiatives, previously recommended moving on to this next phase of the project.

Because state laws in Texas prevent municipalities from offering retail telecommunications services, New Braunfels must advance carefully. The city is proceeding with the consultant's recommendation to pursue a public-private partnership (PPP) for the proposed network. With this second phase of the study, the consultant will help the city release a Request for Proposals (RFP) to solicit interest from would-be private Internet Service Providers (ISP) for the city-owned network.

Clarification from Christopher Mitchell: In Texas, the term telecommunications does not include Internet service. Communities cannot offer telephone service but are able to offer Internet only type services.

Some Findings from Phase I of the Feasibility Study

At a February 4B Board meeting, the New Braunfels Assistant City Manager Kristi Aday noted that the proposed network would cost the city somewhere in the range of $3 - $5 million. A major factor in determining the cost of the network, she said, is whether to use underground fiber for the network or to go with an aerial approach, using poles owned by New Braunfels Utilities.

The full feasibility study, presented at a special joint meeting between the City Council and the 4B Board in March, also reports the results of a survey in which 132 businesses in New Braunfels answered questions about their connectivity needs. According to the results of the survey, 78 percent of city businesses get their Internet service from AT&T DSL or coaxial cable Internet access from Time Warner Cable. Because both technologies rely on copper, many local businesses cannot obtain the high-quality Internet access required for daily...

This week, cities took the stage and made some very important moves to restore their local authority. From cities resisting big media mergers, to those choosing to join the new Next Century Cities initiative, it is a good time to be a part of municipal government efforts.

Broadband Cities

Boulder, CO officials are looking ahead at their Longmont neighbor's gig network and exploring ways to make sure their own businesses are not left in the dust. Boulder’s chamber is pushing for an approval of ballot issue “2C”. Gavin Dahl of Boulder Weekly writes that the ballot question would open the way for the city to offer competitive gig services, helping the city keep existing businesses happy, and entice others to move in.

But according to Boulder News’, Erica Meltzer, opponents still seem to have their heads in the sand; The libertarian Independence Institute says if there was a market for fiber in the city, “some business” will find a way. Maybe they think competitive, affordable Internet will just appear.

Meantime, Columbia, Missouri government officials may be facing an uphill battle. The city is exploring how to light its dark fiber infrastructure. Opponents say the plan goes against state restrictions on the city offering such services directly to customers. We believe the move would encourage competition among ISPs that would otherwise not be able to operate because of a lack of capital required to build fiber networks.

Cities choosing to keep ownership of their fiber infrastructures is often a sound decision, and North Kansas City, Missouri residents may soon be appreciating the city’s most recent announcement. In an effort to “give back” to residents, LiNKCity officials say that beginning in 2015 residential customers can get free Internet service. The decision is thanks to a unique partnership with a server farm company.

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While Cox Communications can make rate decisions in a private conference room several states away, Lafayette conducts its business in an open forum, as it should. While Cox can make repeated and periodic requests for documents under the Public Records Law, it is not subject to a corresponding obligation – a “show me your plans, but don’t dare ask to see mine” mentality. Louisiana law limits the ability of a governmental enterprise to advertise, but nothing prevents the incumbent providers from spending millions of dollars in advertising campaigns. An important focal point of the legal challenges involved the right or ability of Lafayette to pledge assets of the utilities system as security for the bonds, something that the private corporations do all of the time without the slightest scrutiny. To be sure, the “playing field is not level,” but it is the government which is disadvantaged, not the private companies.